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Rate of return or target pricing method
Under this method of price determination first of all a rate of return desired by the enterprises on the amount of profit capital invested by it is determined. The amount of profit desired by the enterprises is calculated on the basis of the rate of return. This rate of return amount of profit is added to the cost of production of the product and thus the price per unit of the product is determined. This method of price determination can be used by an enterprise to get a certain return on invested capital. The use of this method is possible only when there is no competition in the market.
critically examine the current cost accounting for price level changes
Bank guarantee is one of the facilities which the commercial banks extend in support of their clients in favour of third parties who will be the beneficiaries of the guarantees. In
Activity Based Costing (ABC) differs from Absorption Costing (AC) in the manner in which overheads are charged to units. ABC charges overheads to units based on their proportion
Q. What is the issue price for Bond A and B ? On December 31, 20x7, the Jill Corporation issued $20,000,000 of 15 year face value bonds. The bonds pay interest on June 30 and D
Interpretation of equity ratio As equity ratio show the relationship of owner funds to total assets higher the ratio or the share of the shareholders in the total capital of th
Classification of ratio according to significance The ratios have also been classified according to their significance. Some ratios are more important than other and the fir
How to calculate POHR for a company
Intra company transfer pricing A company engaged in production may have several segments division or departments doing production jobs or manufacturing party or fully finished
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As an MBA Managerial Accounting Student, John has asked you to evaluate the alternatives available and make recommendations as to the best course of action, and present it in a Rep
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